---
title: DeepBook Margin
description: Leveraged trading capabilities for DeepBookV3, enabling users to trade with borrowed funds and increase their buying power.
keywords:
  [
    deepbook margin,
    margin trading,
    leveraged trading,
    deepbookv3,
    collateral,
    liquidation,
    isolated margin,
    deep book,
  ]
---

DeepBook Margin extends the trading capabilities of DeepBookV3 by enabling leveraged trading positions. With margin trading, users can borrow funds to increase their buying power.

## Key features

DeepBook Margin provides the following capabilities:

- **Leveraged positions**: Trade with borrowed funds to increase position sizes beyond available capital
- **Risk management**: Built-in liquidation mechanisms to protect lenders and maintain system solvency
- **Collateral flexibility**: Support for multiple assets as collateral for isolated margin positions
- **Interest accrual**: Transparent interest rate calculations for borrowed funds

## Risk considerations

Margin trading carries additional risks, including the potential for liquidation if positions move against the trader. Users should understand these risks before engaging in margin trading on DeepBookV3.

### Liquidation mechanisms

When a margin position falls below the maintenance margin requirement, the position will be liquidated to protect lenders and maintain system solvency. The liquidation engine operates on-chain through smart contracts, ensuring transparent and fair execution.

### Interest rates

Interest rates for borrowed funds are calculated transparently based on utilization rates and market conditions.

## Related links

<RelatedLink
	href="https://github.com/MystenLabs/deepbookv3/tree/main/packages/deepbook_margin"
	label="DeepBook Margin package"
	desc="The DeepBook Margin package on GitHub."
/>
